Lost Wages After a Car Accident: What You Can Recover in California
When you’ve been injured in a car accident, it’s easy to focus on the obvious losses — medical bills, car repairs, insurance headaches. But one of the most overlooked (and financially damaging) consequences is time missed from work.
Whether you're out for a few days or months, you have the right to be compensated for your lost wages — and in some cases, for future earnings and opportunities lost due to your injuries.
Here’s how lost wage claims work in California, what you can recover, and why it’s important to work with a lawyer to make sure nothing gets left on the table.
What Counts as Lost Wages After a Car Accident?
Lost wages refer to the income you would have earned had the accident not happened. This includes:
- Hourly wages or salary from missed workdays
- Bonuses, commissions, or overtime that were reasonably expected
- Sick days or PTO used because you couldn’t work
- Lost tips or gratuities (for service workers)
- Job opportunities or gigs you had to cancel or turn down
Even if you used paid time off, you're still entitled to recover that lost time — because you shouldn’t have to use your benefits for someone else’s negligence.
What About Future Earnings or Long-Term Impact?
If your injury affects your ability to work long-term — or forces you to take a lower-paying role — you may also be entitled to loss of earning capacity.
This type of claim covers:
- Reduced hours or workload due to ongoing symptoms
- A change in job duties or a transition to light-duty work
- Inability to return to your previous field (e.g., manual labor or physical jobs)
- Loss of career advancement due to missed opportunities
Proving these losses often requires input from your doctor, employer, and sometimes an economic or vocational expert — which is where a personal injury lawyer can make a big difference.
How Do Self-Employed Workers or Contractors Prove Lost Income?
If you're self-employed, a freelancer, or an independent contractor, proving lost income can be more complex — but it’s absolutely possible.
Documentation may include:
- 1099 forms or tax returns
- Invoices and contracts for missed projects
- Bank statements showing past income patterns
- Emails or correspondence about canceled work
- Statements from clients about lost business
It’s important to start gathering these documents early, as insurance companies are often more skeptical of self-employment claims. A lawyer can help present your financial losses in a way that insurers understand — and take seriously.
What If I Had to Change Careers or Stop Working Completely?
In serious cases, your injury might prevent you from returning to work at all. If that happens, your lost wage claim can also include:
- Loss of future income based on your age, job history, and life expectancy
- Retraining or vocational rehab costs
- Loss of benefits, such as employer-provided health insurance or retirement contributions
These losses can be substantial — and you may only have one chance to get them compensated in a settlement. That’s why an experienced attorney will often consult with economists and other experts to estimate your future financial impact.
How Are Lost Wages Calculated and Paid?
In California, lost wages are calculated based on:
- Your average earnings before the accident
- The number of days or hours you missed due to injury
- The type of work you do and your typical schedule
- Documentation from your employer or financial records
You’ll need to provide:
- Pay stubs, W-2s, or tax returns
- A letter from your employer confirming missed time
- Medical records or notes from your doctor supporting your need to be off work
In most cases, lost wages are part of your overall personal injury settlement, and they’re negotiated along with medical bills, pain and suffering, and other damages.
Why You Shouldn’t Handle Lost Wage Claims Alone
Lost income is often underclaimed — not because it’s not valid, but because it’s hard to document and prove. Insurance adjusters may:
- Question whether you really needed time off
- Say your injuries weren’t severe enough
- Demand unreasonable levels of proof
- Offer far less than your losses are worth
A lawyer can calculate your total wage-related losses, collect the necessary evidence, and push back on unfair denials or low offers.
Injured and Out of Work After a Crash? Don’t Settle for Less.
Lost wages are real — and they add up fast. If your accident has left you without income, you deserve to be fully compensated for every dollar lost.
Call Lawyer Gigi today for a free consultation.
We’ll review your case, gather the right documentation, and fight for the full amount of compensation you’re owed — so you can focus on recovery, not financial stress.
